Verizon revokes generous offers, angering customers
Verizon (VZ) is embarking on a shaky path as it continues to see its phone customers jump ship after a series of price increases.
Last week, a Reddit post sparked speculation that Verizon plans to increase prices and pull several discounts on Sept. 1.
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It stated that Verizon was contemplating hiking its device activation fees from $35 to $40, which the company later confirmed on its website. However, the change appears to be immediate.
Related: Verizon discontinues free customer perk from phone plans
The post also said that the phone carrier will be hiking the monthly price of its tablet plan by $5. Some customers have flagged on social media that they recently received an email about this change.
Verizon’s Administrative and Telco Recovery fee, which, according to the company’s website, helps to “defray and recover certain direct and indirect costs” its agents incur, will allegedly increase from $3.50 to $3.78 per line for voice customers. For customers with data-only plans, that monthly fee will spike from $1.60 to $3.97 per line.
Verizon customers receive an unpleasant notification
In addition, the post also claimed that Verizon will be removing loyalty discounts, and customers are now confirming that they received an email warning them about this change, which is set to take effect next month.
“We are writing to let you know that a discount on your account will soon end,” said Verizon in an email to a customer, according to a recent Reddit post. “This discount will be removed no sooner than September 1, 2025. It is important to us to be upfront and transparent when changes are made to your account. We want to ensure you get the best value and experience from Verizon and encourage you to check out our myPlan options for the plan that works best for you.”
Verizon offered customers renewable loyalty discounts, which usually ranged between $10 and $40, to keep them from switching providers.
Related: Spectrum suffers major loss as customers pull the plug on service
In the comment section under the Reddit post, many customers also flagged that they received the same email, and they’re not thrilled about it. Some even threatened to switch phone providers.
“Also received this. My wife and I are porting to t mobile. This is the 5th f**king increase in less than two years. Ironic seeing the ‘thank you for your loyalty of 14 years’ when logging in….. while also being told my loyalty discount is being removed,” wrote one Verizon customer.
“Yup, got this email too. As much as I like the VZ network, I may have to consider ATT if my discount goes away as ATT gives me an employer discount with my job,” wrote another.
“I received this all well, called customer service to rely my displeasure about my customer loyalty discount and then raising the fees on my three iPads and was treated so rudely and disrespectful, hung up on twice by even a supervisor I requested to speak with that I’m literally on my way to T-Mobile to port my lines out of Verizon,” wrote another customer.
Verizon takes drastic action as customers ditch service
The move from Verizon comes shortly after it notified customers on its 5G Get More and 5G Play More plans a few days ago that they will no longer have access to free Apple Arcade and Google Play Pass subscriptions.
Verizon’s plan to increase prices and pull discounts/perks comes after it lost about 51,000 postpaid phone customers during the second quarter of this year. Also, its wireless postpaid phone churn (the number of customers who cut phone service) remained flat at 0.9% compared to the previous quarter.
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The loss in customers comes after it issued several price increases earlier this year as it faces competition from rival phone carriers and even cable companies.
During an earnings call on July 21, Verizon Chief Financial Officer Tony Skiadas said that the company is doubling down on improving its customers’ “loyalty and retention” by providing them with more personalized support and value to help reverse this startling trend.
“We have taken a series of actions to address our elevated churn,” said Skiadas. “On June 24th, we launched initiatives designed to improve the customer experience, including leveraging AI for more personalized support. In addition, we continue to enhance our value proposition and build customer loyalty through the best value guarantee. We provide exclusive access to the best events and experiences, and our Refresh app helps customers maximize the value of their plans.”
Verizon is also quietly pushing to make it harder for customers to switch phone providers. In May, it submitted a request to the Federal Communications Commission to waive its requirement to unlock phones it sells to customers after 60 days, arguing that the rule contributes to fraud.
It also said that keeping phones locked for longer than 60 days will not only deter fraud but also make phones more affordable for low-income customers.
Related: T-Mobile launches a cheap new service amid customer struggles
